Making payroll on time
Pay employees and contractors on schedule even when a major customer pays late.
Texas Small Business Factoring
For established Texas businesses that sell to other businesses: turn the invoices you are waiting on into cash, without taking on a loan.
Established B2B businesses
Small Business Factoring in Texas
Most small B2B businesses are not short on customers. They are short on cash because their customers pay on 30, 45 or 60 day terms, while rent, payroll, supplies and taxes are due now. One slow-paying account can turn a profitable month into a stressful one.
Invoice factoring lets you sell those unpaid invoices for an immediate advance. It is not a loan, so there is no new debt on your books, and approval depends mostly on the customers you invoice. It works for service firms, trades, distributors and manufacturers alike.
- Advances typically 80% to 90% of invoice value
- Rates starting at 1.2%, quoted before you commit
- Invoices processed within 48 hours
- No start-up fees and no month-to-month contracts
- Factor one invoice, a few customers or your whole ledger
What Small Businesses Use Factoring For
The cash is yours to use. These are the most common reasons small business owners factor.
Taking on a bigger client
Accept a larger contract without worrying how you will carry the costs until the first payment.
Capturing supplier discounts
Pay vendors early to earn discounts that can offset part of the factoring fee.
Smoothing uneven months
Even out cash flow when sales are seasonal or a few big invoices dominate a month.
Avoiding expensive short-term debt
Use receivables you already own instead of high-cost cash advances or credit cards.
Factoring vs. a Small Business Loan
Small business loans can be useful for long-term investments, but they are often slow to approve and require collateral and strong credit. Factoring is built for short-term working capital tied to sales you have already made.
| Feature | Invoice Factoring | Small Business Loan |
|---|---|---|
| Approval basis | Mainly your customers' creditworthiness | Your credit score, tax returns, collateral and cash flow history |
| Time to funding | Days for setup, then funding within 48 hours of submitting invoices | Weeks to months |
| Debt | No new debt; you sell receivables | Adds debt with interest and fixed payments |
| Amount available | Grows with your sales volume | A fixed amount set at approval |
| Best use | Ongoing working capital and payroll | Long-term purchases like property or major equipment |
Built for Businesses Across Every Texas Industry
We work with small businesses in Houston, Dallas, San Antonio, Austin, Fort Worth, El Paso, Plano, Lubbock and towns in between. If your customers are other businesses or institutions and you invoice on terms, factoring is likely an option, whether you run a machine shop, a staffing agency or an IT consultancy.
Industry pages like manufacturing factoring and staffing factoring cover specific trades in more depth. If you are weighing options, start with how invoice factoring works.
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How It Works for a Small Business
Four steps from unpaid invoice to cash in your account.
1. Apply
Share basic business details, a recent accounts receivable aging and the customers you want to factor.
2. Approval
We review your customers' credit and send a written quote showing your advance rate and fee.
3. Submit invoices
Send invoices as you bill them; we process them within 48 hours and advance 80% to 90%.
4. Customer pays
When your customer pays, you receive the remaining balance minus the agreed fee.
Small Business Working Capital
Get paid faster with small business factoring in Texas.
Call now or request a free estimate to see how small business factoring can support payroll, everyday expenses, and steady growth.
FAQ
Texas Small Business Factoring FAQs
Straight answers for Texas businesses comparing invoice factoring options.
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Fast cash from your approved invoices
Talk with a Texas factoring team that understands payroll, receivables, slow-paying customers, and the pressure of keeping operations moving.
512 271 5100